2 Artificial Intelligence (AI) Stocks I'd Love to Buy on the Next Dip

Industry Overview - The artificial intelligence (AI) market is projected to grow nearly tenfold by 2030, encompassing various technologies including generative AI, speech recognition, cybersecurity, and robotics [1][2] - Advanced semiconductors are foundational to the growth of these technologies [2] Company Analysis: Arm Holdings - Arm Holdings is a key player in the semiconductor industry, with over 99% of global smartphones utilizing Arm-based chips [5] - The company is focusing on AI as its next growth frontier, collaborating with major tech firms like Meta on advanced technologies [6] - Arm reported $844 million in revenue for fiscal Q2 2025, reflecting a 5$3.95 billion, leading to a high valuation of nearly 40 times sales and a price-to-earnings ratio close to 100 [8] Company Analysis: SoundHound AI - SoundHound AI specializes in speech recognition technology, which is increasingly being adopted in various applications such as automated customer service and voice commands in vehicles [9] - The company reported an impressive 89% year-over-year sales increase to $25 million in Q3, with expectations of at least$82 million in sales for 2024 and $155 million to$175 million for 2025 [10] - Despite strong revenue growth, SoundHound's market cap of $5.15 billion results in a valuation of over 60 times the 2024 sales forecast, indicating a steep valuation for a non-profitable company [11]